KUALA LUMPUR (Oct 8): S P Setia Bhd (KL:SPSETIA) is partnering Japanese real estate developer Mitsui Fudosan for a residential project worth RM1.3 billion in gross development value.

The proposed project in Semenyih comprises 683 units of bungalows, semi-detached and cluster homes, according to a statement from S P Setia. The development will be launched in phases, with its maiden launch in 2026.

“We are confident that this partnership will boost Setia EcoHill’s overall profile and marketability to local owner occupiers and investors,” said S P Setia president officer Datuk Zaini Yusoff.

The project will be carried out through a joint venture company, Setia MF EcoHill Sdn Bhd, formed between S P Setia’s wholly owned subsidiary Setia EcoHill Sdn Bhd and Mitsui Fudosan (Asia) Malaysia Sdn Bhd. The shareholding structure was not disclosed.

S P Setia first collaborated with Mitsui Fudosan, Japan’s biggest listed real estate company in terms of earnings, in the Setia Federal Hill project in December 2023. The latest project in the Setia EcoHill township would be Mitsui Fudosan’s first landed housing project in Malaysia.

“By leveraging our combined expertise, we aim to deliver quality homes that contribute to a sustainable and thriving community in Setia EcoHill,” said Mitsui Fudosan (Asia) Malaysia managing director Masayoshi Saito.

Launched in 2013, Setia EcoHill, which has a gross development value of RM5 billion, comprises residential and commercial properties sprawling across 673 acres of land.

S P Setia was down 4% to 93 sen at the noon trading break on Wednesday ahead of the joint venture announcement. At the last price, the company has a market capitalisation of RM4.65 billion.